Ahead of their October 13, 2021, meeting, the Financial Stability Board (FSB) Chair, Randall K. Quarles, issued a letter to the G20 Finance Ministers and Central Bank Governors in relation to the two reports the FSB has already provided to the G20 regarding the development of a more resilient NBFI sector, and addressing challenges in cross-border payments.
The FSB committed to a multi-year plan to enhance NBFI resilience after market turmoil in March 2020, to focus on, in collaboration with the International Organization of Securities Commission (IOSCO), vulnerabilities in money market funds (MMFs). The FSB also provided the G20 with a final report entitled “Policy Proposals Aimed to Enhance Money Market Fund Resilience”.
Further, as a follow up to the roadmap they previously submitted to the G20 on enhancing cross-border payments, the FSB plans to submit:
- “a progress report on the roadmap to enhance cross-border payments, which also confirms steps for next year and beyond;
- quantitative targets for addressing the challenges of cost, speed, transparency and access experienced by end-users; and
- a report on the progress made on the implementation of the FSB’s high-level recommendation for the regulation, supervision and oversight of “global stablecoin” arrangements.”
More information on the FSB’s letter to the G20 can be found here.